Using “probability of default” values instead of credit scores to measure risk in a mortgage securitization can provide far more insight and dramatically cut loss exposure, according to a new white paper from VantageScore Solutions, a joint initiative created by the three major credit bureaus, Equifax, Experian and TransUnion. “Loan securitization has become an essential source of capital for consumer lenders of all sizes, playing a significant role in ...

One source contends that “several” potential acquirers have already taken a look at RoundPoint.

Internal differences among Democrats and Republicans – let alone the strong differences between the two parties – have prevented Congress from resolving the conservatorship of the two government-sponsored enterprises, according to industry analysts. At the ABS Vegas conference this week sponsored by the Structured Finance Industry Group and Information Management Network, two people with intimate knowledge of matters in the House and Senate pointed to inter-party issues regarding GSE reform. Andrew Olmem, a partner at the law firm of Venable and a former Republican chief counsel and deputy staff director at the Senate Committee on Banking, Housing, and Urban Affairs until 2013, noted...

RoundPoint Mortgage, a servicer with more than $41 billion of receivables on its books, is entertaining offers for the entire company, according to industry officials briefed on the matter. Moreover, servicing advisors contend that several large bulk servicing portfolios are ready to hit the market in what should turn out to be a busy late winter/early spring for both buyers and sellers of mortgage servicing rights. In a recent public disclosure, Ocwen Financial said...

Institutional investors that loaded up on mortgage stocks the past two years have been battered by huge losses thanks to a 34 percent plunge in originations and negative publicity generated by industry bellwether Ocwen Financial and some of its peers. But with some mortgage stocks – such as Owen – trading at 80 percent discounts to their 52-week highs, now may be the time to “re-enter” the volatile world of mortgage equities. At least, that’s how some hedge funds and private-equity firms view the matter. According to Henry Coffey, a vice president and senior analyst at Sterne Agee, there are...

The ABS Vegas show attracted more than 6,000 attendees, but few investors appear ready to buy new jumbo MBS.

Stan Middleman, chairman of CHMI, told IMFnews that having agency approvals will allow the REIT to leverage servicing rights...

According to the MBA, a Big Four accounting firm issued controversial guidance which would have been burdensome for small MBS issuers.

Bayview is purchasing from a network of correspondent sellers roughly $10 million per month in loans that don’t meet the QM test defined by the CFPB.

Citadel Servicing Corp., which has made a name for itself as a new-style subprime lender, has rolled out an Alt A mortgage called “Maggi.”